Objectives Stated in Individual ISAs
21. To achieve the overall objectives of the auditor, the auditor shall use the objectives stated in
relevant ISAs in planning and performing the audit, having regard to the interrelationships among
the ISAs, to: (Ref: Para. A74–A76)
A74. Each ISA contains one or more objectives which provide a link between the requirements and the
overall objectives of the auditor. The objectives in individual ISAs serve to focus the auditor on the
desired outcome of the ISAs while being specific enough to assist the auditor in:
● Understanding what needs to be accomplished and, where necessary, the appropriate means of doing so;
and
● Deciding whether more needs to be done to achieve them in the particular circumstances of the audit.
A76. In using the objectives, the auditor is required to have regard to the interrelationships among the
ISAs, the ISAs deal in some cases with general responsibilities and in others with the application of those
responsibilities to specific topics. For example, this ISA requires the auditor to adopt an attitude of
professional skepticism; this is necessary in all (iv) Simpler systems of internal control; aspects of
planning and performing an audit but is not repeated as a requirement of each ISA.
Determine whether any audit procedures in addition to those required by the ISAs are necessary in
pursuance of the objectives stated in the ISAs; and (Ref: Para. A77)
The requirements of the ISAs are designed to enable the auditor to achieve the objectives specified in the
ISAs, and thereby the overall objectives of the auditor. The proper application of the requirements of the
ISAs by the auditor is therefore expected to provide a sufficient basis for the auditor’s achievement of the
objectives. However, because the circumstances of an engagement, there may be particular matters that
require the auditor to perform audit procedures in addition to those required by the ISAs to meet the
objectives specified in the ISAs.
(a) Evaluate whether sufficient appropriate audit evidence has been obtained. (Ref: Para. A78)
A78. The auditor is required to use the objectives to evaluate whether sufficient appropriate audit
evidence has been obtained in the context of the overall objectives of the auditor. If as a result the
auditor concludes that the audit evidence is not sufficient and appropriate, then the auditor may
follow one or more of the following approaches to meeting the requirement of paragraph 21(b):
● Evaluate whether further relevant audit evidence has been, or will be, obtained as a result of
complying with other ISAs;
● Extend the work performed in applying one or more requirements; or
● Perform other procedures judged by the auditor to be necessary in the circumstances. Where none
of the above is expected to be practical or possible in the circumstances, the auditor will not be able
to obtain sufficient appropriate audit evidence and is required by the ISAs to determine the effect on
the auditor’s report or on the auditor’s ability to complete the engagement.
Complying with Relevant Requirements
22. Subject to paragraph 23, the auditor shall comply with each requirement of an ISA unless, in
the circumstances of the audit:
(a) The entire ISA is not relevant; or
(b) The requirement is not relevant because it is conditional and the condition does not exist. (Ref:
Para. A79–A80)
A79. In some cases, an ISA (and therefore all of its requirements) may not be relevant in the
circumstances. In general, the conditionality of a requirement will either be explicit or implicit, for
example:
● The requirement to modify the auditor’s opinion if there is a limitation of scope 28 represents an
explicit conditional requirement.
In some cases, a requirement may be expressed as being conditional on applicable law or regulation. For
example, the auditor may be required to withdraw from the audit engagement, where withdrawal is
possible under applicable law or regulation, or the auditor may be required to do something, unless
prohibited by law or regulation. Depending on the jurisdiction, the legal or regulatory permission or
prohibition may be explicit or implicit.
23. In exceptional circumstances, the auditor may judge it necessary to depart from a relevant
requirement in an ISA. In such circumstances, the auditor shall perform alternative audit
procedures to achieve the aim of that requirement. The need for the auditor to depart from a
relevant requirement is expected to arise only where the requirement is for a specific procedure to
be performed and, in the specific circumstances of the audit, that procedure would be ineffective in
achieving the aim of the requirement. (Ref: Para. A81)
A81. ISA 230 establishes documentation requirements in those exceptional circumstances where the
auditor departs from a relevant requirement.31 The ISAs do not call for compliance with a requirement
that is not relevant in the circumstances of the audit.
Failure to Achieve an Objective
24. If an objective in a relevant ISA cannot be achieved, the auditor shall evaluate whether this
prevents the auditor from achieving the overall objectives of the auditor and thereby requires the
auditor, in accordance with the ISAs, to modify the auditor’s opinion or withdraw from the
engagement (where withdrawal is possible under applicable law or regulation). Failure to achieve
an objective represents a significant matter requiring documentation in accordance with ISA 230.4
(Ref: Para. A82–A83)
A82. Whether an objective has been achieved is a matter for the auditor’s professional judgment. That
judgment takes account of the results of audit procedures performed in complying with the requirements
of the ISAs, and the auditor’s evaluation of whether sufficient appropriate audit evidence has been
obtained and whether more needs to be done in the particular circumstances of the audit to achieve the
objectives stated in the ISAs. Accordingly, circumstances that may give rise to a failure to achieve an
objective include those that:
● Prevent the auditor from complying with the relevant requirements of an ISA.
● Result in its not being practicable or possible for the auditor to carry out the additional audit procedures
or obtain further audit evidence as determined necessary from the use of the objectives in accordance with
paragraph 21, for example, due to a limitation in the available audit evidence.
A83. Audit documentation that meets the requirements of ISA 230 and the specific documentation
requirements of other relevant ISAs provides evidence of the auditor’s basis for a conclusion about the
achievement of the overall objectives of the auditor. While it is unnecessary for the auditor to document
separately (as in a checklist, for example) that individual objectives have been achieved, the
documentation of a failure to achieve an objective assists the auditor’s evaluation of whether such a
failure has prevented the auditor from achieving the overall objectives of the auditor.